SPDR SSGA My2028 Municipal Bond ETF (MYMH)

Overview

The SPDR SSGA My2028 Municipal Bond ETF (NYSEMKT: YYY) is a target maturity ETF designed to provide investors with exposure to a diversified portfolio of U.S. municipal bonds, with a focus on bonds maturing in or around the year 2028. This ETF offers a way to access the municipal bond market with a defined maturity date, aiming to provide a predictable income stream and return of principal at maturity. The investment strategy involves holding a portfolio of municipal bonds and allowing them to mature over time.

Reputation and Reliability

State Street Global Advisors (SSGA) is one of the largest asset managers globally, known for its extensive experience and reliability in managing ETFs and other investment products.

Management Expertise

SSGA has a dedicated fixed-income team with experienced professionals managing the ETF's portfolio and implementing its investment strategy.

Goal

The primary investment goal is to seek to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the Bloomberg Municipal Bond 2028 Index.

Investment Approach and Strategy

Strategy: The ETF aims to track a specific index, the Bloomberg Municipal Bond 2028 Index. The index includes U.S. dollar-denominated, investment-grade, fixed-rate, tax-exempt municipal bonds with a final maturity date in the year 2028.

Composition The ETF holds primarily U.S. municipal bonds with a maturity date in or around 2028. It focuses on investment-grade securities, seeking to provide tax-exempt income.

Market Share: Data not available, but is a smaller player in the target maturity municipal bond ETF market.

Total Net Assets (AUM): 46000000

Key Competitors

• Invesco BulletShares 2028 Municipal Bond ETF (BSMV)
• Guggenheim Municipal ETF (NUNZ)
• VanEck Vectors AMT-Free Intermediate Municipal Index ETF (ITM)

Competitive Landscape

The target maturity municipal bond ETF market is competitive, with several established players. YYY's advantages could be its specific focus on 2028 maturities and the backing of SSGA. Disadvantages may include lower AUM compared to competitors, potentially impacting liquidity and trading costs. Competition is based on expense ratios, tracking error, and liquidity.

Historical Performance: Historical performance data is not provided in numerical format and should be sourced directly from financial data providers.

Benchmark Comparison: Benchmark comparison data is not provided in numerical format and should be sourced directly from financial data providers.

Expense Ratio: 0.12

Average Trading Volume

The average trading volume is relatively low, which could impact the ease of buying and selling shares.

Bid-Ask Spread

The bid-ask spread can fluctuate based on trading activity but should be monitored by investors before trading to minimize transaction costs.

Market Environment Factors

Economic indicators like interest rates, inflation expectations, and municipal bond credit spreads influence the ETF's performance. The overall health of the municipal bond market and demand for tax-exempt income also impact its value.

Growth Trajectory

The growth trajectory depends on interest rate movements, demand for target maturity municipal bonds, and the ETF's ability to track its index effectively. Changes to strategy and holdings may occur to maintain alignment with the index.

Competitive Edge

YYY's competitive advantages include its specific focus on municipal bonds maturing in 2028, providing a defined maturity profile. The backing of State Street Global Advisors (SSGA) lends credibility and expertise. This ETF offers targeted exposure to a specific segment of the municipal bond market, allowing investors to align their fixed-income strategies with their investment horizons. Additionally, tax-exempt income is a key benefit for investors in higher tax brackets.

Volatility

Historical volatility data is not provided and requires external financial data sources.

Market Risk

Specific risks include interest rate risk (bond prices falling as rates rise), credit risk (municipal issuers defaulting), and liquidity risk (difficulty selling shares at desired prices). Additionally, changes in tax laws could affect the attractiveness of municipal bonds.

Ideal Investor Profile

The ideal investor is someone seeking tax-exempt income and a defined maturity date for their fixed-income investments, particularly those planning for specific future liabilities or goals around the year 2028.

Market Risk

This ETF is best suited for long-term investors seeking a predictable income stream and return of principal at maturity. It's less appropriate for active traders or those seeking short-term gains.

The SPDR SSGA My2028 Municipal Bond ETF provides exposure to a portfolio of U.S. municipal bonds maturing in or around 2028, offering tax-exempt income and a defined maturity profile. Backed by State Street Global Advisors, it aims to track the Bloomberg Municipal Bond 2028 Index. Potential investors should consider its relatively low AUM, trading volume and associated liquidity risk when evaluating this ETF. While suitable for long-term investors, it carries market risks like interest rate sensitivity and credit quality of the bonds it holds.

Data Sources:

• State Street Global Advisors (SSGA) website
• Bloomberg
• Various financial news and data providers

Disclaimers:

The information provided is for informational purposes only and should not be considered financial advice. Investors should conduct their own research and consult with a financial advisor before making any investment decisions. Market data and AUM can change rapidly. Market share data is estimated.